CELL TOWER LEASE AGREEMENTS FOR PROPERTY OWNERS

2007-03-08 10:33:40

( Telephony )



A cell tower lease is considered a lucrative business for property owners. Property owners can just sit back and wait for payments made for the leasing of their lands for tower construction. However, cell tower lease arrangement must be planned very well and be coordinated with the right government offices to make sure that applicable law is observed. Property owners should review local ordinances to know whether it is permitted to construct cell towers in their properties.

Standard cell tower lease agreement run for 20 to 25 years and are renewable for an average of three to five years. Increase in the lease price is incremented during renewals of lease contract. The amount of rent is based on the size of the property being rented as well as the size of the tower to be constructed. Also, the level of competition of tower rentals in the area is also considered in the pricing of rentals.

Property owners should hire the services of a qualified consultant and lawyer to help them map out the cell tower lease agreement with the tower constructor. The cost of the services of a consultant and lawyer is cheaper compared to the money that the property owner will receive for the term of the cell tower lease agreement. Make sure, though, that the lawyer you will hire knows the process involved in drafting a cell tower lease agreement.

The property owner can include in the cell tower lease agreement the provision for paying taxes on the property or have the cell tower constructor share in the payment of taxes. Also, the constructor should cover the necessary costs to maintain their cell towers like rent international cell phone or electricity. The property owner should discuss all these details with his lawyer and the constructor to make sure that he is not incurring more costs in signing a cell tower lease agreement.

Cell tower lease is profitable for property owners particularly those with idle real estate properties. However, taking advantage of this opportunity must be done in a well planned and coordinated manner so that property owners will maximize their earnings from cell tower lease.


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